Dr. Reddy's Laboratories Beats on Both Top and Bottom Lines
Dr. Reddy's Laboratories (NYS: RDY) reported earnings on May 14. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q4), Dr. Reddy's Laboratories beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly. GAAP earnings per share expanded significantly.
Gross margins contracted, operating margins grew, net margins increased.
Dr. Reddy's Laboratories reported revenue of $615.1 million. The 16 analysts polled by S&P Capital IQ expected to see revenue of $562.4 million on the same basis. GAAP reported sales were 18% higher than the prior-year quarter's $522.3 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.62. The two earnings estimates compiled by S&P Capital IQ predicted $0.57 per share. GAAP EPS of $0.62 for Q4 were 55% higher than the prior-year quarter's $0.40 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 50.4%, 220 basis points worse than the prior-year quarter. Operating margin was 22.2%, 240 basis points better than the prior-year quarter. Net margin was 17.1%, 420 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $547.7 million. On the bottom line, the average EPS estimate is $0.41.
Next year's average estimate for revenue is $2.33 billion. The average EPS estimate is $2.01.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 479 members out of 504 rating the stock outperform, and 25 members rating it underperform. Among 102 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 99 give Dr. Reddy's Laboratories a green thumbs-up, and three give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Dr. Reddy's Laboratories is outperform, with an average price target of $37.69.
- Add Dr. Reddy's Laboratories to My Watchlist.
The article Dr. Reddy's Laboratories Beats on Both Top and Bottom Lines originally appeared on Fool.com.Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.